FxWirePro: AUD/USD bulls break-out minor resistance, linger around sloping channel resistance – bullish momentum intact despite Gravestone formation

Despite the bearish pattern occurrences such as Gravestone Doji (at 0.7698 levels), Bulls have managed to break out above the stiff resistance at 0.7719.

Consequently, we could foresee the upside potential up to the next strong resistance at 0.7768 mark, which means upward travel of another 50 pips can be possible as we see the buying momentum is clear from leading oscillators.

Hence, intraday and short-term speculators can eye on bullish targets

On the contrary, the major downtrend has been sliding through the sloping channel, restrain below 21EMA and channel resistance.

The current prices on monthly charts have now reached channel resistance, and the pair at this juncture has been failing quite often to reject at channel resistance, so the question, for now, is that can the prevailing upswings break & sustain above channel resistance?

Yes, the answer lies within; we think if it doesn't manage to break above decisively on a closing basis which would likely to resume bearish potential in the days to come.

Trading tips:

Aussie gains on Reserve Bank of Australia and as disappointing U.S. data continued to weigh broadly on the greenback.

On intraday terms, Stochastic and RSI noise with strong momentum to signal buying interests as they are converging to the ongoing upswings.

On speculative grounds, one can use boundary binary options with ITM stikes of 40 pips above and OTM strikes 30 pips below for targets of 35-40 in between pips with ease. We prefer the boundary binaries as the bull swings have travelled for the day and as stated above next stiff resistance is seen within next 40-50 pips.